Chapter 7 Flashcards
1
Q
Economic Growth
A
growth rate of real GDP rate per capita
2
Q
Doubling Time
A
70/growth rate %
3
Q
Physical Capital
A
the stock of tools that include machines, structures, and equipment
4
Q
Human Capital
A
the productive knowledge and skills that workers acquire through education, training, and experience
5
Q
Technological Knowledge
A
the knowledge about how the world works that is used to produce goods and services
6
Q
Institutions of Economic Growth includes
A
-Property Rights
-Honest government
-Political Stability
-A dependable legal system
-Competitive and open markets
7
Q
Property Rights
A
institutions encouraging investment and physical and human capital
8
Q
Free Rider
A
someone who consumes a resource without working or contributing to the resources upkeep
9
Q
INSTITUTIONS ARE
A
IMPORTANT
